As per case facts, Silchar Municipal Board issued a Notice Inviting Tender for the operation and maintenance of two parks. The Petitioner offered a 57 percent share of collection, while ...
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GAHC010239922024
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THE GAUHATI HIGH COURT
(HIGH COURT OF ASSAM, NAGALAND, MIZORAM AND ARUNACHAL PRADESH)
Case No. : WP(C)/5997/2024
PIJUSH KANTI CHOWDHURY
PROPRIETOR OF PUSHPANJALI VARIETIES, SON OF LATE PABITRA
KUMAR CHOUDHURY, RESIDENT OF CHENGKURI ROAD, AZAD HIND
LANE, BYE LANE NO.3, HOUSE NO. 09, SILCHAR- 788007, DISTRICT-
CACHAR, ASSAM
VERSUS
THE STATE OF ASSAM AND 7 ORS
REPRESENTED BY THE COMMISSIONER AND SECRETARY TO THE
GOVERNMENT OF ASSAM, DEPARTMENT OF MUNICIPAL
ADMINISTRATION, DISPUR, GUWAHATI- 781006
2:THE CHIEF SECRETARY TO THE GOVERNMENT OF ASSAM
DEPARTMENT OF HOUSING AND URBAN AFFAIRS
DISPUR
GUWAHATI- 781006
3:THE DIRECTOR OF MUNICIPAL ADMINISTRATION
GUWAHATI-6
DISPUR
ASSAM
4:THE DISTRICT COMMISSIONER
CACHAR
SILCHAR
ASSAM
5:THE DISTRICT DEVELOPMENT COMMISSIONER CUM CHAIRMAN
TENDER EVALUATION COMMITTEE
CACHAR
SILCHAR
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6:THE SILCHAR MUNICIPAL BOARD
CACHAR
SILCHAR
REPRESENTED BY THE EXECUTIVE OFFICER
7:THE EXECUTIVE OFFICER
SILCHAR MUNICIPAL BOARD
CACHAR
SILCHAR
8:SRI DIGANTA MONDAL
PROPRIETOR
ISTADAM
SON OF DULAL MONDAL
RESIDENT OF MALUGRAM
SILCHAR-788002
DISTRICT- CACHAR
ASSAM
MOBILE NO.- 939512382
Advocate for the Petitioner : MR. D CHAKRABARTY, MS D.CHAKRABARTY
Advocate for the Respondent : GA, ASSAM, MS. R DUTTA(R-8),MR. S KATAKI (R-8),MS S
MOCHAHARI(R-6,7),MR. S DUTTA(R-6,7),MR S DUTTA(R-6,7),MS K BORAH(R-6,7),MR
SISHIR DUTTA(R-6,7),SC, SILCHAR MUNICIPAL BOARD
HON'BLE MR.JUSTICE SANJAY KUMAR MEDHI
Advocate for the petitioner : Shri D. Chakraborty, Advocate.
Advocates for the respondents : Shri M. Chetia, G.A., Assam;
Shri S. Dutta, Sr. Advocate, R/ 6 & 7;
Ms. S. Mochahari, Advocate&
Shri S. Kataki, R/8.
Date on which judgment is : 30.01.2026.
Reserved.
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Date of pronouncement of : 17.02.2026.
Judgment.
Whether the pronouncement : NA.
is of the operative part of the
judgment?
Whether the full judgment : Yes.
has been pronounced?
JUDGMENT & ORDER
The extra-ordinary jurisdiction of this Court has been sought to be invoked
by filing this application under Article 226 of the Constitution of India by putting
to challenge the outcome of a Notice Inviting Tender (NIT) dated 22.07.2014
issued by the Executive Officer, Silchar Municipal Board for operation and
maintenance of two parks. The relief prayed for in this petition reads as follows:
“Under the aforestated premises, it is humbly prayed that Your Lordships
may be graciously pleased to admit this Writ Petition, call for the records
pertaining to Notice Inviting Tender bearing no. SMGR-80/ AMRUT/ 2024-
257 11 dated 22.07.2024 issued by Respondent No. 7 and issue Notice/
Rule calling upon the Respondents to show cause as to why, a Writ in the
nature of Mandamus and/ or Certiorari and/ or any other Writ, direction
or Order of the like nature be not issued directing the Respondent
Authorities to allot the work in connection with Operation & Maintenance
of the Gandhi Bagh Park and Norsingtola Park pursuant to the Notice
Inviting Tender bearing no. SMGR-80, AMRUT/ 2024-25/ 11 dated
22.07.2024 issued by Respondent No. 7 in favour of the Petitioner in view
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of the highest offer made by the Petitioner and to set aside any Work
Order, that might have been issued in favour of Respondent No. 8 whose
offer is lesser than the Petitioner and on hearing the cause or causes as
may be shown, to make the rule absolute and/or to pass such further
other order as your Lordship may deem fit and proper.
AND
Pending adjudication of this writ petition, Your Lordships may be
graciously pleased to suspend any Work Order, that might have been
issued in favour of Respondent No. 8 in connection with Operation &
Maintenance of the Gandhi Baah Park and Norsingtola Park with a
direction to Respondent No. 7 to directly carry out Operation
& Maintenance of the Gandhi Bagh Park and Norsingtola Park till the final
adjudication of the Writ Petition.”
2. The facts, as projected in the petition, in brief, are that Silchar Municipal
Board (hereinafter SMB) had issued an NIT dated 22.07.2024 for Operation and
Maintenance of the Gandhi Bagh Park and Norsingtola Park. The petitioner, who
claims to be eligible for the allotment of the aforesaid work, had offered his bid
whereby, 57% of the collection would be the share of the SMB. On the other
hand, the respondent no. 8 had made an offer of 37%. The petitioner was
directed to appear before the Tender Evaluation Committee and to place the
plan. However, the petitioner could see that the respondent no. 8 was operating
the work of maintenance. The petitioner could learn that on the grounds of lack
of experience and non-furnishing of certain documents, his bid was rejected. It
was also learnt that the work was allotted to the respondent no. 8 at the rate
offered by the petitioner. The writ petition was accordingly instituted.
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3. I have heard Shri D. Chakraborty, learned counsel for the petitioner. I have
also heard Shri M. Chetia, learned State Counsel, Assam; Shri S. Dutta, learned
Senior Counsel assisted by Ms. S. Mochahari, for the respondent nos. 6 and 7
and Shri S. Kataki, learned counsel for the respondent no. 8.
4. Shri Chakraborty, learned counsel for the petitioner has submitted that the
impugned decision to deny the work to the petitioner in spite of him emerging
as the highest bidder is illegal and arbitrary. He has submitted that the offer
made by his client was 57% which was much higher than that of the offer of
the respondent no. 8 which was 37%. He has also submitted that the reasons
which could be gathered for such decision were lack of experience and non-
submission of certain documents and the allotment has been made with the
respondent no. 8 at the offer of the petitioner by private negotiation. He
submits that both the reasons are factually incorrect and without any proper
evaluation, the impugned decision has been taken. He has informed this Court
that the petitioner came to know about the work order dated 25.09.2024 issued
in favour of the respondent no. 8 after filing of the writ petition and therefore,
the same is not a specific subject matter of challenge.
5. Per contra, Shri S. Dutta, learned Senior Counsel assisted by Ms. S.
Mochahari, learned counsel for the respondent nos. 6 and 7 has strenuously
opposed the writ petition. By drawing the attention of this Court to the affidavit-
in-opposition filed on 08.01.2025, the learned Senior Counsel has submitted
that the decision making process is based on relevant and germane
considerations and has been taken bona fide. By drawing the attention of this
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Court to the NIT dated 22.07.2024, more particularly, the conditions thereof, he
has submitted that against Sl. No. 5 of the list of mandatory documents, there is
a requirement to furnish certificate in respect of satisfactory completion of
similar nature of works under the Government or Semi Government department
during the last two years along with necessary testimonials. He has submitted
that under Clause 27 of the Terms and Conditions, there is a mention of the
amusement items in the park as provided in Annexure-A. On the other hand,
from the Experience Certificate furnished by the petitioner in the district of
Hailakandi, apart from the duration being of 6 months, the same was only with
regard to installation and maintenance of LED lights with poles and the visitors
sitting arrangement. He has submitted that the scope of work is wholly different
for which, the petitioner did not have the experience.
6. Drawing the attention of this Court to the minutes of the meetings of SMB
held on 31.07.2024, 19.08.2024 and 30.08.2024, the learned Senior Counsel for
the respondent nos. 6 and 7 has submitted that all the relevant factors were
duly considered and the credentials of the petitioner were verified from the
Hailakandi authority from where, it could be revealed that the experience of the
petitioner was not commensurate with the scope of the aforesaid NIT and the
maintenance cost for the Hailakandi park could not be said to be an appropriate
evaluation yardstick. He has also submitted that the work order dated
25.09.2024 issued in favour of the respondent no.8 has not been specifically
challenged and on this ground alone, the writ petition is liable to be dismissed.
7. The learned Senior Counsel has submitted that the scope of interference by
a writ court in contractual matters is absolutely circumscribed and limited to the
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decision making process. He has also questioned the locus of the petitioner to
maintain the present challenge on the ground that the petitioner is an
unqualified bidder. In support of his submission, the learned Senior Counsel has
relied upon the following case laws:
i)Raunaq International Ltd. Vs. I.V.R. Construction Ltd. & Ors.,
AIR 1999 SC 393;
ii) Afcons Infrastructure Ltd. Vs. Nagpur Metro Rail Corporation
Ltd. &Anr., (2016) 16 SCC 818;
iii) Silppi Constructions Contractors Vs. Union of India &Anr.,
(2020) 16 SCC 489;
iv) Agmatel India Pvt. Ltd. Vs. Resoursys Telecom & Ors., (2022)
5 SCCC 362.
8. The case of Raunaq International Ltd. (supra) has been cited to buttress
the argument that to maintain a challenge regarding work of a contract, the
party approaching the Court has to be qualified. In the cases of Afcons
Infrastructure Ltd. (supra), Silppi Constructions Contractors (supra) and
Agmatel India Pvt. Ltd. (supra), the principles to be followed while adjudicating
a matter pertaining to grant of a contract have been laid down. For the sake of
brevity, the observations made by the Hon’ble Supreme court in the case of
Agmatel India Pvt. Ltd. (supra) in which, all the previous principles have been
culled down are extracted hereinbelow:
“26. The above-mentioned statements of law make it amply clear that
the author of the tender document is taken to be the best person to
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understand and appreciate its requirements; and if its interpretation is
manifestly in consonance with the language of the tender document or
sub-serving the purchase of the tender, the Court would prefer to keep
restraint. Further to that, the technical evaluation or comparison by the
Court is impermissible; and even if the interpretation given to the tender
document by the person inviting offers is not as such acceptable to the
Constitutional Court, that, by itself, would not be a reason for interfering
with the interpretation given.”
9. Shri S. Kataki, learned counsel for the respondent no. 8, while endorsing
the submissions made on behalf of the SMB, has raised the issue of locus of the
petitioner. By referring to the affidavit-in-opposition filed on 21.01.2025, the
learned counsel has submitted that the requirement of experience vis-a-vis the
eligibility criteria is essentially connected with similar nature of work. By drawing
the attention of this Court to the scope of work read with Annexure-A containing
the equipment and features of the parks, he has submitted that the experience
claimed by the petitioner is not with regard to such equipment and features and
is only with regard to visitors’ sitting arrangement and maintenance of LED
lights and poles. He has submitted that the experience clause, as such, is not
the subject matter of challenge. He has submitted that the decision was fairly
taken and the records reveal that opportunity was granted to the petitioner to
justify his bid. He has also relied upon the judgment of the Hon’ble Supreme
Court in the case of Silppi Constructions Contractors (supra) and the following
observations have been pressed into service:
“19. This Court being the guardian of fundamental rights is duty bound
to interfere when there is arbitrariness, irrationality, mala fides and bias.
However, this Court in all the aforesaid decisions has cautioned time and
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again that courts should exercise a lot of restraint while exercising their
powers of judicial review in contractual or commercial matters. This Court
is normally loathe to interfere in contractual matters unless a clear-cut
case of arbitrariness or mala fides or bias or irrationality is made out. One
must remember that today many public sector undertakings compete
with the private industry. The contracts entered into between private
parties are not subject to scrutiny under writ jurisdiction. No doubt, the
bodies which are State within the meaning of Article 12 of the
Constitution are bound to act fairly and are amenable to the writ
jurisdiction of superior courts but this discretionary power must be
exercised with a great deal of restraint and caution. The Courts must
realize their limitations and the havoc which needless interference in
commercial matters can cause. In contracts involving technical issues the
courts should be even more reluctant because most of us in judges’ robes
do not have the necessary expertise to adjudicate upon technical issues
beyond our domain. As laid down in the judgments cited above the courts
should not use a magnifying glass while scanning the tenders and make
every small mistake appear like a big blunder. In fact, the courts must
give “fair play in the joints” to the government and public sector
undertakings in matters of contract. Courts must also not interfere where
such interference will cause unnecessary loss to the public exchequer.
20. The essence of the law laid down in the judgments referred to above
is the exercise of restraint and caution; the need for overwhelming public
interest to justify judicial intervention in matters of contract involving the
state instrumentalities; the courts should give way to the opinion of the
experts unless the decision is totally arbitrary or unreasonable; the court
does not sit like a court of appeal over the appropriate authority; the
court must realize that the authority floating the tender is the best judge
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of its requirements and, therefore, the court’s interference should be
minimal. The authority which floats the contract or tender, and has
authored the tender documents is the best judge as to how the
documents have to be interpreted. If two interpretations are possible
then the interpretation of the author must be accepted. The courts will
only interfere to prevent arbitrariness, irrationality, bias, mala fides or
perversity. With this approach in mind we shall deal with the present
case.”
10. Shri Chakraborty, learned counsel for the petitioner, in his rejoinder has
submitted that affidavits in reply have been filed against the affidavits-in-
opposition of the contesting respondents. He has submitted that the
requirement under Clause 27 is only to provide an insurance cover for the
equipment in the park which were given in the list as Annexure-A and the same
cannot be said to constitute the scope of work. He has also submitted that
though the scope of judicial review in contractual matters is limited, there are
certain exceptions wherein interference is permissible, namely, where there is
mala fide exercise of powers, perversity in the process or nepotism and bias. He
submits that in the instant case, all the exceptions are applicable. He has also
submitted that while the NIT described the area as 400 sq. mt., in the affidavit,
the area has been described 6400 sq. mt.
11. Rival submissions have been duly considered and the materials on record
have been carefully examined.
12. Before embarking to adjudicate the issue involved vis-a-vis the submissions
and the materials on record, we are reminded that a writ court, in exercise of
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jurisdiction under Article 226 of the Constitution of India would confine its
powers to examine the decision making process only. Further, the challenge is
with regard to a tender process wherein, scope of such interference is limited.
13. Law is well settled in this field. The Hon’ble Supreme Court, after
discussing the previous case laws on the jurisdiction of a Writ Court qua
contractual matters has laid down the principles which have been already noted
above. In brief, it has been laid down that the scope of judicial review in
contractual matters is absolutely circumscribed as it is the owner who would be
the best judge to determine as to whom the work is to be allotted and how it is
to be done. Of course, there is no bar as such for interference which has to be
on patent illegality, gross unreasonableness/arbitrariness or explicit mala fides in
the decision making process.
14. The principal ground of challenge is that the decision making process is
unreasonable and arbitrary. It may be mentioned that there is no specific
challenge to the work order dated 25.09.2024 made in favour of the respondent
no. 8. As an explanation, it has been contended on behalf of the petitioner that
he came to know about the same after filing of the writ petition. Perusal of the
records would, however, reveal that the writ petition was filed on 12.11.2024.
Therefore, the explanation that the petitioner was not aware of the work order
does not inspire confidence and on the other hand, reflects lack of due
diligence. Nevertheless, taking the aforesaid aspect to be technical in nature,
this Court has proceeded to examine the challenge on its merits.
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15. In the affidavit-in-opposition filed by the SMB, amongst others, copies of
the minutes of meetings held on 31.07.2024, 19.08.2024 and 30.08.2024 have
been annexed. The said minutes, in clear terms reveal that the bid of the
petitioner was duly considered. There is a clear finding that so far as the
Experience Certificate is concerned, the same was in connection with a park
having only visitors’ sitting arrangement and LED lights with poles. The scope of
the work of the present NIT can be fully understood by the list of equipment
and facilities as given in Annexure-A which, admittedly, the petitioner does not
fulfill. Shri Chakraborty, learned counsel may be correct in contending that
Clause 27 is only with regard to providing insurance cover for the equipment
mentioned in Annexure-A. However, the said list in Annexure-A also clearly gives
the scope of the work. On this point, it would be required to mention the
eligibility criteria which contain a list of mandatory documents which includes in
Sl. No. 5, an Experience Certificate. For ready reference, the same is extracted
hereinbelow:
“5. Certificate in respect of satisfactory completion of similar nature of
works under Govt. or semi Govt. department during last two years along
with work order (Tenderer must have completed same nature of work at
least one number in single work order in the last 2 financial years ending
on 31-03-2024 under Govt./Semi Govt. or under any public sector
undertaking).”
16. It may be noted that such certificate of satisfactory completion has to be
of similar nature of works which have been further explained as same nature
of work.
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17. The SMB, while considering the respective bids had taken note of the fact
that the experience claimed by the petitioner cannot be held to be either of
similar nature or same nature. In fact, in the minutes of meeting held on
19.08.2024, the same has been clearly reflected prior to which, a further
opportunity was granted in the minutes of meeting dated 31.07.2024 to have a
clear view of the experience claimed by the petitioner from the employer,
namely, Hailakandi Municipal Board. This Court has also noted that in the
subsequent minutes of meeting dated 30.08.2024, the petitioner was himself
present and his views were taken wherein, he had clearly expressed that he did
not have such experience of running any amusement park. The further
explanation that he can reduce the expenditure by engaging family members
who would serve voluntarily does not inspire confidence and may also invite
other legal complications. There is also a proper discussion on the bid of the
respondent no. 8 regarding his vast experience in running the parks for the last
23 months, coupled with the fact that he was agreeable to increase his offer to
57%.
18. With regard to the argument advanced on behalf of the petitioner that
there is a difference in the area of the park mentioned in the NIT and the
affidavit, the same has been explained by the learned Senior Counsel for the
SMB that mention of 400 sq. mt. is only with regard to the excluded area
allotted for “Khao-Gallis”. This Court is also of the view that when both the parks
in question have been specifically mentioned in the NIT dated 22.07.2024, the
aforesaid submission cannot be countenanced inasmuch, as an intending bidder
is otherwise also required to have a fair idea of the work for which the bid has
been submitted.
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19. At this stage, it would also be required to put on record the stand of the
petitioner himself, taken in the affidavit-in-reply filed on 04.03.2025 to the
affidavit-in-opposition of the respondent nos. 6 and 7 (SMB). In paragraph 7 of
the same, the following has been stated:
“7. That, as regards the statements made in paragraph 6 of the Affidavit
in opposition filed by Respondents No. 6 & 7, your deponent begs to state
that the quantum of lease area for Gandhi Bagh and Norsingtola Park was
mentioned as 400 Sq.mt. in the NIT dated 22.07.2024 issued by
Respondent No. 7 himself and now, as a complete somersault, the same
Respondent No. 7 is deposing on oath that the lease area of Gandhi Bagh
and Norsingtola Park consists of 6400 sq.mt. Had your deponent been
aware of the quantum of lease area is 6400 sq.mt. instead of 400
sq.mt. as depicted in the NIT itself, your deponent would never have
participated in such Tender process.”
20. It clearly appears that the petitioner himself admits that he does not
possess the requisite experience of running a similar/same nature of work which
is a mandatory requirement of the aforesaid NIT.
21. In the conspectus of the aforesaid discussions, this Court is of the opinion
that the impugned decision making process is based on relevant and germane
considerations and there is no element of any arbitrariness in the same. The
impugned decision making process also does not appear to be vitiated by any
mala fide.
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22. In view of the above, the writ petition fails and accordingly, the same is
dismissed.
23. No order as to cost.
JUDGE
Comparing Assistant
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